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Fareed Zakaria GPS

News/Business. Foreign affairs and policies shaping the world. New.

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Us 12, America 8, India 7, Anthony Bourdain 5, Margaret Thatcher 4, China 4, David Goldhill 3, Steven Brill 3, Thatcher 3, Fareed Zakaria 3, Gary 3, Schwab Bank 3, Washington 3, Europe 3, Underarm 2, Ratan Tata 2, The Tata 2, Cheryl Burke 2, Fareed 2, Austan Goolsbee 2,
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  CNN    Fareed Zakaria GPS    News/Business. Foreign affairs  
   and policies shaping the world. New.  

    April 14, 2013
    7:00 - 8:00am PDT  

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today's show, search us on itunes. fareed zakaria "gps" is next for our viewers here in the united states. this is "gps global public square." welcome it all of you in the united states and around the world, i'm fareed zakaria. this week, president obama released his 2014 budget proposal and will start with two crucial debates about it. first up, is obama's budget a step forward? will we get our house in order? we have a debate. ronald reagan's budget director david stockman versus austan goolsbee. then, america's debt and deficits going forward will largely be caused by one factor, health care. how do bring these costs down. the great debate we should all be having.
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steven brill and david goldhill present two very different views. also, anthony bourdain on globalization and food. what does he learn from eating stuff all over the world. >> that's good. >> i'll ask him. and a lesson in ethics from an unlikely source. an emerging markets business titan. ratan tata ran india's biggest conglomerate and how businesses should live by a moral code. i grew up admiring margaret thatcher. it was obvious to many of us in india in 1970s that economics didn't work and her forms were the right course. privatize industry and deregulate have largely been vindicated by history, but that doesn't tell us very much about what to do today. consider the world in 1979 when thatcher came to power. the average britain's life was a series of interactions with
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government. telephone, gas, electricity, water service, ports, trains, airlines were all owned and run by the state. as was steel companies and even jaguar and rolls royce. in almost all cases this led to inefficiency. it took months to just get a home telephone line installed. marginal tax rates were ferociously high. reaching up to 83%. britain was not unusual in most european countries. the state had a large roll amid the demanding of the country. even america had tax rates in the 1970s in the range of 70%. and government tightly regulated communications, transportation, finance. today's world is completely different. 30 years of privatization, tax cuts and deregulation have swept through those same industries, telecommunication, transportation and finance and many more. in most sectors, it's hard to
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find a major state-owned company in the western world. thatcher privatized 50 companies and governments in europe, asia, latin america and now africa have followed the same course. the top marginal tax rate in india in 1974 was 97.5%. real really. today the top rate is 40%. in the u.s. in 1977, taxes on capital gains and dividends were 39.9%. in 2012, the rate was 15%. in 1977, corporate taxes in america were close to 50%. they're now 35% and most companies pay a lower rate. these changes have taken place under conservative, liberal and even socialist governments. the architect of the labor party's rise in the 1990s declared, we are all thatcherites now. thatcher's ideas resignated because they were an effective anecdote to the times.
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in the 1970s the western world staggering under the world of oil shocks, rising wages, rocketing inflation and slowing productivity and growth, high taxes and sclerotic state-owned companies. these are not the problems we face now. today american and european workers struggle to keep up their wages as technology and globalization push them down. wage deflation, not inflation, is the pressing problem. western economies face global competition with other countries building impressive infrastructure and expanding education and worker training. they face a two-track economy where capital does well, but labor does not. where college graduates strive, but those without strong educational skills fall behind where inequality is rising, not just in outcomes, but in opportunities. against this backdrop, would a further round of deregulation do much? would cutting taxes from say 40% unleash growth, especially when it would mean even larger
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deficit? the simpson bowles plan seen as a fiscal solution actually raises tax revenues by $2.6 trillion and it hikes the rates on both capital gains and dividends. margaret thatcher was, in her own words, a conviction politician. >> when you see the bill, say no, no. >> but she was successful because her convictions addressed the central problems of her time. the ideas that will work now will be those that solve our problems, not those of the 1970s. for more on othis, go to cnn.com, fareed for a link to my "washington post" column. let's get started. the budget proposal that president obama unveiled this week has certain inclusions, the democrats generally like and republicans don't. tax increases and other items
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that republicans tend to appreciate and democrats, for the most part, don't. entitlement cuts. what to make of all of this? joining me now, two former top economists. david stockman reagan budget director and the author of "the great deformation" and austan goolsbee was president obama's chair of the council of economic advisors and now professor at the booth school of business at the university of chicago. what is the one line you draw out of president obama's budget? what is the one-line reaction? >> a disgraceful cop out. it basically is based on illusions about the four things that matter. ten years of an economy, rosy scenario, budget improving, no way. if you used realistic forecasts, we're heading for 15 to $20 trillion of deficits, not the 6
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he starts out with. so, therefore, what he's done makes very little difference. secondly, we need to have revenue increases on everybody, the middle class, too. and, again, you have the illusion and the statement of the middle class, you're not going to have to do it, we'll get it from the oil companies or the top 2%. i'm all for the buffet rule in taxing oil companies, that's fine. but we need more revenue than that if you look at it honestly. third, social security gets a pin brick when social security is a massive problem, there's nothing in the trust fund, that's confetti. we need to have a very tough means test that saves trillions of dollars over the next several years. if we don't do this, we're going to be drifting right into the wall. >> other than that, mr. lincoln, how did you like the play? austan goolsbee, even by president obama's accounting, the total debt goes to something like 80%, 78% of gdp in two
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years. and that's up from 40% when you first took over at the council of economic advisors. is it fair to say that this doesn't deal with this huge problem of public debt? >> no, i don't think that's fair. now, you've got to note, david is coming from a different place than what the debate between democrats and republicans are. so, when he's saying it's just a pin on social security, you saw several republicans in congress come out and say it was an unconscionable attack on seniors. this partisan environment in washington that has prevented anything like a compromise from even getting put on the table. >> but, austan, is it fair to say when you consider the magnitude of the problem it doesn't do enough on the deficit or misplaced assumption? >> well, i think on the economics, the simpson-bowles commission on fiscal responsibility that looked out forward said, you got to get 4
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to $4.5 trillion of deficit cutting to stabilize the debt to gdp ratio of the u.s. david is saying he thinks it needs to be well more than that because he believes that economic growth is going to be much worse than what the cbo or others have predicted. but if you take simpson-bowles that you need $4.5 trillion, we've done half of that already and this, if you passed it, would go more than what was in simpson-bowles. i think it's at least a perfectly good starting point. >> david, what do you say to people who argue you've been crying wolf for a long time and the wolves haven't come. the bond markets continue to lend us money at the cheapest rates in history. there is no crisis on hand and hasn't been one. interest rates have gone down, not up. if somebody was trying to make money off your writings in the last five years, is it fair to say, they would have lost money? >> well, it's not over until
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it's over. i mean, the bond vigil antes have not gone home. they're laughing all the way to the bank. what you have out there is all kind of traitors who couldn't be more grateful to bernanke. everything is managed by the fed and these deficits, therefore, roll forward because bernanke is enabling congress to sit on its hands. enabling a second-term president who should lead in 20134, the first year of his new term. to tell the people, you're going to pay more taxes, all of you, not just the 2%. we can't afford to keep paying you and tell the military industrialize complex the sequester is nothing compared to the $100 billion or $200 billion that needs to be cut. i disagree with the idea that, you know, we're in the fifth, sixth and seventh year of this recovery. that's the next three budgets, we're are still stimulating the economy and still going to borrow $1.6 million and obama
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will increase spending over the next ten years for discretionary programs and none of that makes sense as part of the dilution, i think, that has settled in like a fog over our policy process. >> ostaaustan goolsbee about yo talk to defend canes? >> i don't know him. we're not in a keynesian moment. the government spending is dropping at a faster rate this year than at any time since the demobilization of world war ii. the fiscal problem facing the country is fundamentally not about should we be even more aggressive in 2013 at trying to get the deficit down? it's about thinking about the longer run factors and i fear that that is being missed in this fight about, you know, the debt ceiling and stuff that's in the short run. >> ostaaustan goolsbee, david
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stockman, we'll come back to you. thank you very much. up next, we look at the biggest driver of debt and health care. how to cut those costs. we have a great debate, when we come back. travelers a month find whatps 3n they're looking for. one traveler at a time. expedia. find yours. governor of getting it done. you know how to dance... with a deadline. and you...rent from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. this is awesome. [ male announcer ] yes, it is, business pro. yes, it is. go national. go like a pro.
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americans have to file their taxes by tomorrow and around 20 cents of every dollar we will pay to the government will go towards health care. a rather astounding figure. the highest in the world, by far. and health care is the biggest driver of america's debt and deficits going forward. so, what to do about it. we have a terrific debate between two great american businessmen who have done deep investigates into the issue. steven brill the founter of court tv and american lawyer magazine decided to follow the money in medicine. the recent "time" magazine cover story. "the bitter pill, why medical bills are killing us." david goldhill ceo of game show network. his father died from a hospital infection and he wrote a book about it. "catastrophic care. how american health care killed my father and how we can fix it." we can joined by david goldhill and steven brill.
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david, your basic argument is that health care does not function the way most markets function. >> right. well, we haven't taken advantage of the things that most markets bring to most industries. we haven't taken advantage of competition and empowered consumers and differentiation and services and quality and we stripped out of health care. >> and give an example. you use lasik care of how a procedure, sort of medical procedure not covered by insurance works in a more marketized situation. >> if we look at any of the parts of health care that are outside of the insurance system. so, lasik and other eye care and dental, it's very price competitive and also very quality and safety competitive. where you see people competing against each other on safety and on quality. we don't have that in main stream health care because we've got the wrong customer. we have big insurers or
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medicare. the theory is they're big enough to drive quality, price and safety, but we now have 50 years of history to prove they're ineffective at doing so. >> steven, when you looked at it very carefully going and looking at the actual bills that were sent, in a sense, you kim to ca the same conclusion. it doesn't function as a normal market. >> it doesn't function as a normal market. i disagree completely with your analysis. it doesn't function as a normal market because the kinds of medical proerncedures that you describe are voluntary procedures. you volunteer to have lasik surgery. you certainly volunteer to have a facelift. you don't wake up the morning and say, gee, i think i'm going to, you know, have a heart attack today. i ought to go shop around and see which emergency room is going to be the best for me. what their prices are, what their quality is. >> you give us an example , a
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bunch of examples. the most striking one is the one that made the cover of "time" magazine. tell the price difference here. >> that's the price of a tylenol pill at the the m.d. anderson cancer center and a patient was charged $1.50 for that, which doesn't sound like much except you can buy a dozen at a drugstore for $1.50. the $13,000 that that same patient got charged for a dose of a cancer drug, that life-saving dose, which costs the hospital $4,000. costs the drugmaker, maybe $200 or $300. that's not a marketplace because that patient had no choice. was told you need that drug or you're going to die and had to buy it. as it happened, had no insurance and had to pay the full price. and, in fact, was stopped from getting the dose until his check cleared. >> what would you do? how would you change it?
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>> what i'm seeking is a balance. right, what we've done is go all the way in this direction. any country on earth, reducing the amount of skin consumers have in the game. but the problem isn't just money. the problem is the way health care sectors compete. we have a nonfunctioning price system in congress. their price system didn't make no sense is to remove the consumer from the equation. consumers don't exercise power through leverage. they don't have leverage in any market. the cell phone market or personal computer market or home building market. we never had leverage. people say in health care, they don't say anything else. it's a competition for consumers that drives good behavior. in health care, everything we've done is to reduce competition. >> this seems like a point of agreement where you talk so much about local monopolies and the lack of competition that the reason you can have this kind of price gouging, which you describe is because you have all
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these local monopolies. >> that's right. in the first part of the solution is complete transparencies as to pricing so that, you know, if i'm wrong and you have an instance where consumers have a choice, they have some kind of an inform choice. but if i'm right, and you need insurance and they don't need to have 100% of skin in the game, you need to balance the market out so that those, you know, the insurers or whoever else is buying on behalf of the patient has, you know, some degree of leverage. i do think it is leverage. i think if i walk out of this building today and decide i'm going to buy a new cell phone, the leverage i have is at least knowing, hey, if it's way too expensive for all cell phones. i don't need to buy one. i will live another day. maybe not, actually. "b," lots of people who will sell me different kinds of cell phones on the different price. i think that that is power and that is leverage and that is completely missing from the
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health care economy today. so, i think what the one point of agreement is we in the united states have a kind of almost the worst of all worlds. >> we tried this really ridiculous experiment where we left it, you know, completely to market forces, except that what's usual in a market is that there are two sides of the equation. the buyer and the seller. here, the market forces only work for the seller. and the result is we've lived in an alternate universe over the last ten years where, you know, the rest of the country, the economy hasn't been so good in case you haven't noticed in the last half decade. but the health care economy is just a totally different planet. everybody is making more and more money. you know, the salaries are ridiculously high and the profit margins keep going up and the salaries of the people who run the drug companies and the hospitals keep going up and it's all at the expense ovthe rest of us. >> final word. >> our heart may be in the right place, but we're not just hurting ourselves and our
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pocketbook. we're genuinely hurting our health. we released a flood of excess care that is dangerous and unsafe. all health care is not alike, but we treat it like it's all alike. >> we have to leave it at that. this is the big debate in america and i think we have to have it and we have to get it right. thank you, both. >> thank you. up next, what in the world. an american divide more important than left or right, democrat or republican. what is it? i'll tell you when we come back. tdd: 1-800-345-2550 searching for a bank designed for investors like you? tdd: 1-800-345-2550 schwab bank was built with tdd: 1-800-345-2550 all the value and convenience investors want. tdd: 1-800-345-2550 like no atm fees, worldwide. tdd: 1-800-345-2550 and no nuisance fees. tdd: 1-800-345-2550 plus deposit checks with mobile deposit, tdd: 1-800-345-2550 and manage your cash and investments tdd: 1-800-345-2550 with schwab's mobile app. tdd: 1-800-345-2550 no wonder schwab bank has grown to over 70 billion in assets. tdd: 1-800-345-2550 so if you're looking for a bank that's in your corner,
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now, for our what in the world segment. >> we are equal! >> as the supreme court ponders the legality of gay marriage in the united states, everybody is talking about the political divide where twice as many democrats support gay marriage as republicans. the more inflew wenshal divide is not a simple left or right. it's age. look at this chart from the pew research center. of americans born in the 1930s
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and '40s, known as the silent generation, only 31% favor same-sex marriage. but amongst baby boomers, the number rises to 38%. it gets still higher for the middle aged generation x at about 49%. now look at the millennials. those born in 1981 or later. 70% support gay marriage. some other polls put that number even higher rising to 80%. millennials are an important constituency, representing about a fifth of this country's voting age generation. they will be around longer than anyone else, you want them on your side. their voting patterns are actually striking. if you break down voters' party choices by their age group, here's what you find. the oldest generation breaks republican 48 to 44%. the baby boomers break democratic by about the same margin. the generation after that generation x is slightly democratic by 47 to 45%.
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the millennials, however, are off the charts. they are democratic by 62% to 32% in 2008 and 55 to 36% in 2012. this is a stunning gap. now, some explain this by citing a common myth, when you're young, you're liberal. the older you get, the more conservative you beam. but it turns out the most important factor is not just your age, but when you came of age. look at the data, again, from the pew research center. americans who turned 18 during the obama or george w. bush years have overwhelmingly supported democrats in every presidential election they voted in. the same goes for those who came of age during the clinton years. they're democrats. but that doesn't mean young americans have always skewed left. look back at the republican-led years of reagan and george h.w. bush and the numbers look very different. americans who came of age then have skewed republican in the polls ever since. the same goes for the ford and
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carter years. so, what can we infer about the president? >> a new generation is saying it's our time. >> for now, democrats have a lock on the young demographic. the party has been more progressive on many of the issues dear to young americans, immigration, gay marriage, gun control. on the other hand, these are historically bad times for the economy. if you're graduating from high school or college, a depressed job market looms in front of you. if economics trumps politics, the millennials could switch. that is more plausible than it might initially sound. of the ten states with the lowest unemployment, seven went republican in the last election. of the ten states with the largest population growth, again, seven went republican. republicans seem to be winning in states that are growing, where there are jobs and where the governors seem competent and pragmatic. good governance, it turns out, is also good politics. up next, globalization and
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food. >> i'm all over it. a fascinating interview with global foodie anthony bourdain. global foodie anthony bourdain. right back. we'll be with him all day as he goes back to taking tylenol. i was okay, but after lunch my knee started to hurt again. and now i've got to take more pills. ♪ yup. another pill stop. can i get my aleve back yet? ♪ for my pain, i want my aleve. ♪ [ male announcer ] look for the easy-open red arthritis cap. love your passat! um. listen, gary. i bought the last one. nice try. says right here you can get one for $199 a month. you can't believe the lame-stream media, gary. they're all gone. maybe i'll get one. [ male announcer ] now everyone's going to want one. you can't have the same car as me, gary! i'm gettin' one. nope! [ male announcer ] volkswagen springtoberfest is here and there's no better time to get a passat. that's the power of german engineering. right now lease one of four volkswagen models
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how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ i just stick the bar in the dryer like this, and it freshens my laundry for me so i don't have to think. wait. what was the question? [ male announcer ] how do you get your bounce? [ man ] stick it and forget it.
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[ male announcer ] there's a reason no one says "easy like monday morning." sundays are the warrior's day to unplug and recharge. what if this feeling could last all week? with centurylink as your trusted partner, it can. our visionary cloud infrastructure and global broadband network free you to focus on what matters. with custom communications solutions and dedicated support, your business can shine all week long. i'm candy crowley in washington with a check of the headlines. north korea has yet to launch a
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missile, but sticking with its hardline rhetoric. last hour on "state of the union" john mccain says poses a serious military threat and china is easing tensions along the korean peninsula. in japan secretary of state john kerry urged north korea to pursue a peaceful end to the crisis. two new cases of humans with bird flu. 51 people infected with the virus. a new strain of bird flu was recognized last month. no evidence of human-to-human transition. so far 11 people have died. l.a. lakers star kobe bryant suffered a season-ending injury. it will sideline him for the rest of the season and into the next. he underwent suck is esful surgery saturday, but his injury
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will take six to nine months to heal. "reliable sources" at the top of the hour but now back to "fareed zakaria gps." one of the recurring themes on this show is, of course, globalization. its effects on everything from economic to employment to innovation and also an extraordinary effect on music, theater, culture and food. 50 years ago in new york you could get good french and cuisine, but that was about it. today walk around the corner and you'll find afghan cuisine, ethiopian, peruvian and all great stuff and that's just to name a few. and new york isn't unique any more. who better to talk about the globalization of food than the food world's global citizen, anthony bourdain. his new cnn show "parts unknown" premieres at 9:00 p.m. and next saturday for viewers internationally.
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so, are you struck when you travel around the world that there is now a kind of almost international cuisine that if you go to, you know, shanghai or a smaller, you know, you'll be able to get pasta primavarri and this globalization that has taken a layer of what we want to call it international food that you can get anywhere. >> it's fascinating to see what western food items and dishes become particularly value in places like china or japan where, for some reason, french pastries are an obsession, a boutique obsession. so, it's interesting to see on one hand what's traveling abroad while the cutting edge sort of hipster dining public in america are chasing after traditional -- you know, the most authentic food or sort of afghan would be
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the, would be the hippest and coolest thing you could brag about eating. >> when you go to places like china or india, what they're trying to strive for is the kind of, they're signaling modern, we have the big breakfast buffet, too. we have all the smoked salmon platter and here we're trying to find something more authentic, more -- >> and, of course, authentic is an increasingly meaningless word. you know, is classic italian american, red sauce, spaghetti and meatballs, is that authentic? does it matter? no. it is a genre all its own and much beloved. it's interesting how the world is changing and how difficult it is to find that sort of old school stuff, which is always what we're looking for on the show. it's often undervalued by the people who created it.
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>> how important is china going to be? people often say chinese cuisine is the rival in its complexity and scale and variety of french food and, as china rises and becomes more and more popular, will we see, i mean, will there be an explosion of chinese food and will that change the way we eat normally? >> it's the mother cuisine. if you look, i said it jokingly, but i believe that if you look deep in the heart of any great cook, french, italian, spanish, anywhere, there's a chinese cook in there somewhere. the principles of how to transform something, maybe tough and not so fresh into something delicious. these are chinese principles. in almost every case, the cooking method general principles of great cooking, the general culture. the chinese did it first. the mother cuisine of all other cuisines and certainly, you know, may not have been the
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nicest guy in the world, but brought enlightenment and culture to the west and much like, i think the future is very much chinese when you talk about food. >> do you think when you go to these places you can learn larger lessons? >> things happen. when you express a willingness to sit down at the table with people from another culture and you do something as simple as eat and drink and what gives them pleasure and what they're proud of. other things, other issues, other subjects reveal themselves. and that willingness to eat what's offered, to drink what's off aer off aered in whatever quantity is offered, opens up a communication in a very privileged way. i think because i'm really there just to eat and drink and find out about very ordinary daily things, i'men fortunate
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enough to find out many other aspects of a society. of a life of a country of a culture that i would probably miss if i was coming at it from another direction. i was not there with an agenda in search of a story. >> since you raised the drinking issue, how can you conceivably drink as much as you seem to drink on that show? and do you have a hangover remedy? >> i just pay the price. i don't drink much off camera. i'm a professional. if i'm in russia, i understand -- >> with vodka -- >> i know i'm going to be knocking off half a bottle a day. it's why i wait a few years in between russia shows because it's not something i could do on a regular basis. but i think if you're going to make friends, particularly when you're trying to show people
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behaving naturally and comfortably, it's part of the process. my whole crew, we spent a lot of time before, we'll spend as much as four hours with a family drinking and eating. we're not alcoholics, we're television professionals. >> worst food in the world? >> worst national cuisine? a single item of food, it's got to be, it's an icelandic holiday dish celebrating their tough viking origins and it's essentially a putrefied pickled shark and it is, if i were to have the tiniest little piece on a plate here, everyone in the studio would be running out the door in mad panic. it is vile beyond words. >> you're not much of the fan of the chicken mcnugget either. >> yeah, i'm not a big chicken mcnugget, it is yet to be proved to me that it is either chicken
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or a nugget. >> on that note, anthony bourdain, pleasure to have you on. >> thank you. up next, ethics in business. does it exist? i'll talk to a man who says it can and does even in the developing world.
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many of the world's developing economies are growing rapidly, but many of them are also quite corrupt. take india, for example. may be the world's eighth biggest economy, but ranks 94th in the world on transparency international corruption index. even within a country like that, however, there are some shining examples to the contrary. from which american businesses could learn much about ethics, social responsibility and the style of corporate governance. when i was last in mumbai, i had a fascinating conversation who recently ran the tata group. the tata group is india's largest conglomerate. businesses span everything from steel to automobiles to mobiles. it also owns the taj group of hotels for which i should point out, my mother's work.
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listen in. the tata companies have been a famous for having operated even in the old india, in which there were many licenses, permits that had to be gotten from the government and for which people had to pay bribes and the tatas were famous for not participating in those kind of ventures. was that difficult to do? >> i would say that there have been times when our own people have come to me and said, you know, you're hurting the growth of the group and not agreeing to this or standing in the way we could grow much faster. and my view has been that i really want to go home at night and say i didn't succumb. and let's hold to that because it's, it deiffrenshiates us fro
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others and once you cross that line and it's a slender thread. it's not a gray area. you just cross that line and you're on the other side. and making that crucial step over that tread is, in fact, the most critical issue. once you've done it, you're just like the others. >> your concern about the standing of the group extends so far that you've said you won't do a hostile takeover. tatas have acquired a lot of company, multi-million dollar acusitions. but you're never going to launch a hosile takeover? >> yes, i've said that. what i mean is that if a company doesn't want us, we're not going to take it by force. what we do before we acquire a company is spend a lot of time looking at the human chemistry and the management and the work
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ethics and the working in that company. if there's a chemistry problem or a business policy deviation from us, we have walked away from companies which would be good business fits for us, but it's method of operation would be too alien. so we've stayed away from it. >> when you make these determinations and, as you said, part of the corporation at tatas but you won't give bribes to what you weren't asked. but was it difficult to institute that among all your managers, all your chief executives because there must have been ambitious ones who wanted to get ahead at any costs. >> we have 458,000 employees and i am quite open in the statement that i can't guarantee the integrity of every one of them.
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what we do when somebody breaks that code, how we deal with that person, i think, is the true index of what we will do and when we have had a major rogue officer or director, we are actually prosecuted that person and the person has actually gone to jail. so, i think we have walked the talk in terms of what we have advocated. we have practiced what we have preached, as a matter of fact. >> the tata, the holding company that governs the entire tata group is two-thirds owned by charitable trusts. am i right? which means that two-thirds of the income that comes from this enormous industry and services
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empire goes to charity. >> yes. >> does that change the way in which, you know, does that change your perspective on how and why you're running it? >> yes, it does. first of all, you know, it runs counter to the general perception that tatas are a family company and that the proceeds of these industrial operations go to the tata family. it does not. the family owns about 2% collectively of tatas. and the 65% that goes to charity has always been seen as, as a noble usage of the wealth we have created from our companies and it goes back into education, medical, alleviation of power or
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rural development. so, in a manner of speaking it has always been our driving force that what we are doing is really for plowing it back to the people of india. >> ratan tata, thank you very much. >> thank you very much. up next, hitting the high notes. ♪ about the economic debate of our times. i'll explain. you know how to mix business... with business. and you...rent from national. because only national lets you choose any car in the aisle. and go. you can even take a full-size or above. and still pay the mid-size price. i could get used to this. [ male announcer ] yes, you could business pro. yes, you could. go national. go like a pro.
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you will lose 3 sets of keys 4 cell phones 7 socks and 6 weeks of sleep but one thing you don't want to lose is any more teeth. if you wear a partial, you are almost twice as likely to lose your supporting teeth. new poligrip and polident for partials 'seal and protect' helps minimize stress, which may damage supporting teeth, by stabilizing your partial. and 'clean and protect' kills odor-causing bacteria. care for your partial. help protect your natural teeth. introducing bbm video with screen share. hey aleigh. hey! carol! update on 171 woodward..... let's other people see what's on your screen. and these are the material studies. the dog was my suggestion. aleigh. aleigh! it's great. but i'm on vacation for another week, remember? oh, right! i'll call you tomorrow! ok. but don't. carol? the blackberry z10 with screen share. powerful communication
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the funeral for the iron lady, margaret thatcher will be held on wednesday in st. paul's cathedral in london. that brings me to my question this week from the gps challenge. what was margaret thatcher's first career out of college? hint, it wasn't politics. was she, "a," a homemaker. "b," a bolawyer, "c" a grocer o "d" a chemist. go to cnn.com/fareed for more of
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the gps challenge and analysis. also, remember, you can go to itunes.com/fareed if you ever miss a show or a special. this week's book of the week is supe superb. "the sleepwalkers. how europe went to war in 1914" by christopher clarke. one of the great mysteries of history. how europe's great powers could have stumbled into world war i. paved the road for communism and fascism and led directly to world war ii. this is the single best book i have read on this important topic. now, for the last look. discord. conflict. feud. the ingredients of a great drama, right? well, they were all hooked up into a work that premiered in
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estonia this week. ♪ do not forget my name >> this was the true story of paul krugman, the nobel winning economist versus henric of estonia. you might recall their spat which erupted online about a year ago about spending versus saving and stimulus versus austerity. he called the poster child for austeoausterity and it wasn't ms a compliment. using an unpresidential expl expletive and called krugman's words smug and patronizing. operatic, indeed. we have a link to the